SAIC Inc. Earnings Cheat Sheet: Reversing to a Loss Following Two Consecutive Quarters of Profit

S&P 500 (NYSE:SPY) component SAIC Inc. (NYSE:SAI) reported its results for the third quarter. SAIC provides scientific, engineering, systems integration and technical services and solutions to all branches of the U.S. military and other government entities.

Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.

SAIC Earnings Cheat Sheet for the Third Quarter

Results: Reported a loss of $89 million (27 cents per diluted share) in the quarter. The technical services company had net income of $172 million or 46 cents per share in the year earlier quarter.

Revenue: Was flat at $2.8 billion from the year earlier quarter.

Actual vs. Wall St. Expectations: SAI reported adjusted net income of 35 cents per share. By that measure, the company beat the mean estimate of 34 cents per share. It beat the average revenue estimate of $2.75 billion.

Quoting Management: “Our actions taken in the third quarter in connection with the CityTime situation, including taking the loss provision, were significant and appropriate. During this time, our employees have consistently remained focused on continuing to deliver operational excellence and new capabilities for our customers. Strong new business bookings, generation of cash flow, and other positive milestones this quarter reflect this focus and teamwork,” said Walt Havenstein, SAIC chief executive officer.

Key Stats:

The company’s loss in the latest quarter follows profits in the previous three quarters. The company reported a profit of $178 million in the second quarter, a profit of $131 million in the first quarter and $132 million in the fourth of the last fiscal year.

The company topped expectations last quarter after falling short of forecasts in the second quarter with net income of 32 cents versus a mean estimate of net income of 35 cents per share.

Looking Forward: The average estimate for the fourth quarter is steady at 34 cents a share. For the fiscal year, the average estimate has been unchanged at $1.36 a share.

Competitors to Watch: OSI Systems, Inc. (NASDAQ:OSIS), General Dynamics Corp. (NYSE:GD), L-3 Communications Hldgs., Inc. (NYSE:LLL), Intl. Business Machines Corp. (NYSE:IBM), American Science & Engineering, Inc. (NASDAQ:ASEI), Northrop Grumman Corp. (NYSE:NOC), Kratos Defense & Security Solutions, Inc (NASDAQ:KTOS), Lockheed Martin Corp. (NYSE:LMT), Computer Sciences Corp. (NYSE:CSC), and Booz Allen Hamilton Holding Corp. (NYSE:BAH).

Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.

(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)